E-Business Systems Chapter 7 PDF

Chapter 7 e-Business Systems McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. Learning Objectives ❖ Identify the following cross-functional enterprise systems, and give examples of how they can provide significant business value to a company:...

Chapter 7 e-Business Systems McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. Learning Objectives ❖ Identify the following cross-functional enterprise systems, and give examples of how they can provide significant business value to a company: ❖ Enterprise application integration ❖ Transaction processing system ❖ Enterprise collaboration system 7-2 Learning Objectives ❖ Give examples of how Internet and other information technologies support business processes within the business functions of accounting, finance, human resource management, marketing, and production and operations management. 7-3  Section 1 E-Business Systems 7-4 I. Introduction ❖ e-business is much broader than e-commerce, using the Internet for any type of business activity 7-5 II. Cross-Functional Enterprise Applications ❖ Reengineer/improve business activities by crossing boundaries of traditional business functions ❖ Enterprise Application Architecture – overview of major cross-functional enterprise applications and their interrelationships 7-6 II. Cross-Functional Enterprise Applications The New Product Development Process 7-7 II. Cross-Functional Enterprise Applications Interrelationships of Cross-Functional Enterprise Applications 7-8 III. Enterprise Application Integration ❖ Connects e-business applications; integrates front-office and back-office applications 7-9 IV. Transaction Processing Systems ❖ Handles/records daily business activities (transactions) ❖ Transaction – anything that occurs during daily business of which a record must be kept ❖ Online transaction Processing Systems – capture and process transactions immediately, in real time 7-10 IV. Transaction Processing Systems ❖ Transaction Processing Cycle – 5 activities: ❖ Data Entry – capture business data ❖ Transaction Processing ❖ Batch Processing – record data, the process it periodically in “batches” ❖ Real-time (Online) Processing – capture and process the data immediately after it occurs 7-11 IV. Transaction Processing Systems ❖ Database Maintenance – Databases must be updated so they are always correct and up-to-date ❖ Document and Report Generation – T-P systems produce a variety of reports ❖ Inquiry Processing – users may query and receive reports about transactions 7-12 IV. Transaction Processing Systems The Transaction Processing Cycle 7-13 V. Enterprise Collaboration Systems (ECS) ❖ Cross-functional IS help users to: ❖ Communicate – share information ❖ Coordinate – organize work efforts and resources ❖ Collaborate – work together on projects 7-14 V. Enterprise Collaboration Systems (ECS) ❖ Tools for Enterprise Collaboration ❖ Electronic Communication Tools ❖ e-Mail ❖ Instant Messaging ❖ Voice Mail ❖ Faxing ❖ Web Publishing ❖ Paging 7-15 V. Enterprise Collaboration Systems (ECS) ❖ Tools for Enterprise Collaboration ❖ Electronic Conferencing Tools ❖ Data Conferencing ❖ Voice Conferencing ❖ Videoconferencing ❖ Discussion Forums ❖ Chat Systems ❖ Electronic Meeting Systems 7-16 V. Enterprise Collaboration Systems (ECS) ❖ Tools for Enterprise Collaboration ❖ Collaborative Work Management Tools ❖ Calendaring and Scheduling ❖ Task and Project Management ❖ Workflow Systems ❖ Document Sharing ❖ Knowledge Management 7-17 V. Enterprise Collaboration Systems (ECS) Electronic Tools Enhance Enterprise Collaboration 7-18  Section 2 Functional Business Systems 7-19  I. Introduction ❖ IT in Business – some IS support specific business functions 7-20  I. Introduction Functional Business IS Support Major Functional Areas 7-21  II. Marketing Systems ❖ IS that aid in planning, promotions and sale of existing products in existing markets ❖ Interactive Marketing – customer-focused two-way transactions between a firm and its (potential) customers ❖ Sales Force Automation – connect the sales force to the Internet, intranets, and extranets 7-22  II. Marketing Systems ❖ Targeted Marketing – advertising/promotion concept that includes: ❖ Community – the group of people interested in the product ❖ Content – the message aimed at the community ❖ Context – relevant/related to the target audience ❖ Demographic/Psychographic – aimed only at specific types/classes of people ❖ Online Behavior – track a person’s online behavior so the advertising can be targeted to the individual 7-23  II. Marketing Systems Marketing IS Support Major Components of the Marketing Function Major Components of Targeted Marketing 7-24  III. Manufacturing Systems ❖ Support the production/operations function ❖ Computer-Integrated Manufacturing Goal: to create flexible, agile, manufacturing processes that efficiently produce highest quality products 3 Objectives: ❖Simplify (reengineer) production processes ❖Automate – with computers, machines, robots ❖Integrate – tie together all production and support processes with networks, cross-functional software, and other IT 7-25  III. Manufacturing Systems ❖ Computer-Aided Manufacturing – automate the production process ❖ Manufacturing Execution Systems –monitor performance ❖ Process Control – control ongoing physical processes ❖ Machine Control – use of computers to control machines 7-26 III. Manufacturing Systems Manufacturing IS Support Computer-Integrated manufacturing 7-27  IV. Human Resource Systems ❖ Human Resource Information Systems (HRIS) support: ❖ Planning to meet personnel needs ❖ Development employee to their full potential ❖ Control personnel policies and programs ❖ HRM and the Internet – Internet is a major force for change in HRM ❖ HRM and Corporate Intranets – Intranets allow firms to provide services to customers and employees 7-28 IV. Human Resource Systems 7-29  V. Accounting Systems ❖ The oldest and most widely used IS in business; emphasize legal/historical record keeping accurate financial statements ❖ 6 operational accounting systems: ❖ Order Processing – capture/process orders, create data for inventory control and accounts receivable ❖ Inventory Control – process data reflecting changes in inventory, provides shipping/reorder information ❖ Accounts Receivable – record amounts owed by customers, produce customer invoices/statements and credit management reports 7-30  V. Accounting Systems ❖ 6 operational systems: ❖ Accounts Payable – record purchases from, amounts owed to, and payments to suppliers, and produce cash management reports ❖ Payroll – record employee work and compensation data, produce paychecks and payroll documents ❖ General Ledger – consolidate data from other accounting systems, produce periodic financial statements and reports ❖ Online Accounting Systems – interactive, directly involved in processing business transactions 7-31  V. Accounting Systems Note How Accounting Systems Are Related to Each Other 7-32  VI. Financial Management Systems ❖ Support decisions concerning: ❖ Financing a business – determine financing needs ❖ Allocation and control of financial resources ❖ Capital Budgeting – evaluate profitability and financial impact of proposed capital expenditures ❖ Financial Planning – evaluate present and projected financial performance 7-33